Oil prices surge 4 percent on Iran worries

Oil prices surge 4 percent on Iran worries

The test-firing at an undisclosed location in Iran of an improved version of the Sejil 2 medium-range missile which the Islamic republic says can reach targets inside Israel.

There's nothing like the threat of war to get the attention of global oil markets.

That's especially true when that rising tension involves Iran, an important oil producer which happens to sit on the Straits of Hormuz — the key shipping lane that handles some 20 percent of all the world's oil trade.